ARE YOU RICH ENOUGH TO PAY WEALTH TAX ?           It is not only the rich persons having luxurious cars, lot of jewelry or big bank balances, sprawling estate have to pay Wealth Tax, but even you also can come under the preview of Wealth Tax.           It is sure you must have a house, a car & cash in hand exceeding Rs. 50,000/-, then you may have to pay Wealth tax. But before you become panic, consider that Wealth Tax is payable on Net Wealth ( i.e Assets less liabilities ) & also there is basic exemption limit of Rs. 15 Lakhs.           Like Income Tax, Wealth Tax is an annual tax and for residents it is their global wealth which is subject to wealth tax. March 31st is an important date that determines whether an asset is chargeable to wealth tax. So, even if an asset isn’t held through the year, and is acquired only towards the year-end, it will be liable to wealth tax if it is held by the taxpayer as on March 31. Likewise, if an asset held through the year is sold just before the year-end, it will not be liable to tax if it isn’t held by the taxpayer as on March 31.           Assets chargeable to wealth Tax are residential and commercial property, Motor car, Jewellery or any other article made of gold, silver, platinum or other precious metal ,Urban land, Cash in excess of Rs. 50,000 of individuals.           Some exceptions to the above assets are one residential house or 500 sq. mt. urban land etc.           The value of all the taxable assets on the 31st March is clubbed together and is reduced by the amount of debt owed by the assessee. The net wealth so arrived at is charged to tax at the rates specified. The present rate of tax is 1% of the amount by which the net wealth exceeds Rs. 1500000. Special rules have been laid down in the Act regarding valuation of various assets like immovable properties, jewellery etc.           Wealth tax return is filed in the Form no. BA. and should be filed by 31st July.           There are some special provisions for NRI. A returning non-resident Indian or a person of Indian origin (PIO), who wishes to settle permanently in India, is eligible for exemption from wealth tax in respect of certain assets, for example, Foreign exchange and other assets brought by him in India, amount standing to his credit in a NRE Account and value of assets acquired by him out of money brought in foreign exchange or from NRE account balance within one year prior to the date of his return and at any time thereafter. The exemption is applicable for first seven years. Once the NRI become a resident Indian (ROR) then he needs to consider his global wealth.